This publication provides new information on public research institutions (PRIs) and government strategies. Public research institutions are crucial for innovation due to their role in knowledge creation and diffusion. While absolute real expenditure on R&D in this sector has risen, it now accounts for a smaller share of total R&D spending by OECD countries and of OECD GDP. The targets and focus of many PRIs have evolved in recent years. Changing activities, new policy challenges and wider economic and political developments have driven change in missions and mandates and linkages have become focal points for many. Internationalisation has also increased and relationships are frequently collaborative. PRIs sources of income are diverse but funding has become increasingly competitive. Funding instruments need to balance short-and long-term goals to uphold research quality and ensure the sustainability of PRI activities.